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Justin Sun’s $21 million AAVE, MKR deposit to Binance signals DeFi resurgence

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on Jun 10, 2024
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  • Tron's founder transferred digital assets worth $21M to Binance exchange.
  • The transaction involved four tokens, $AAVE, $MKR, $COMP, and $LQTY.
  • The massive bet suggests possible solid recoveries in the DeFi world.

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Crypto intelligence platform Spot On Chain revealed significant transactions involving a dormant whale.

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The wallet, belonging to Tron’s founder Justin Sun, transferred tokens worth around $21 million to Binance.

Sun’s diversification in the DeFi world

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The significant transaction involved 93,979 $AAVE (worth $11.26 million), 3,800 $MKR (valued at $9.3 million), 4,178 $COMP (worth $245K), and $217K in 203,623 LQTY coins.

Aave (AAVE) and Compound are leading protocols in the decentralized finance industry, allowing players to participate in crypto borrowing and lending.

The enormous investment in AAVE & COMP reveals a strategic move for Justin Sun.

Furthermore, MakerDAO’s governance token MKR allows holders to vote on protocol decisions, boosting stablecoin DAI’s growth and stability.

Liquity protocol enables players to borrow against Ethereum interest-free, and LQTY’s presence in Justin Sun’s investment profile underscores his approach to diversification in the DeFi market.

DeFi markets refreshed

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Sun’s strategic investments stirred the digital assets marketplace, with many questioning his intentions and strategy.

The notable allocation in $AAVE and $COMP underscores his trust in the potential of borrowing and lending networks.

Moreover, the significant MKR purchase could be crucial in swaying governance votes within the MakerDAO ecosystem.

Investing in multiple DeFi coins highlights a strategic approach to using different protocols for maximized returns and boosted influence in the marketplace.

Whale actions remain vital in the crypto world, as other investors can use them to predict market shifts.

Sun’s deposit prioritizes DeFi’s stability and future growth, offering a possible draft for market players.

Market response

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Justin Sun’s accumulation comes as the market struggles to register solid uptrends. Bitcoin hovers at the $69K vicinity after failure to break past $71K.

While the strategic deposits to Binance attracted attention, the altcoins haven’t reflected the optimism.

AAVE, LQTY, MKR, and COMP lost 1.36%, 2.43%, 2.06%, and 1.02% over the past day.

Renowned analyst Michael van de Poppe trusts bears will dominate the altcoin market for a while, with many tokens retesting April lows.

Meanwhile, the retests could mean lucrative accumulation opportunities for interested players.

Market players will likely watch Justin Sun’s portfolio growth and whether the latest additions could yield impressive returns in the coming sessions.

Altcoins Blockchain technology Crypto Crypto business DeFi